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Study points to ag repercussions from tariff-induced trade war
New analysis by the National Corn Growers Association indicates U.S. farmers would suffer while export competitors benefit from a tariff-induced trade war.
Farmers for Free Trade president Bob Hemesath says when the U.S. imposes tariffs, it usually comes at the cost of agriculture.
“Whoever we impose tariffs on impose tariffs on us, and usually it’s on agricultural products. Then that leads us to where we’re not competitive in the world market.”
The northeast Iowa farmer tells Brownfield the NCGA study shows a new trade war would result in an immediate drop in corn and soybean exports to the tune of hundreds of millions of tons.
He says the release of the study just weeks before the presidential election is coincidental.
“It’s a coincidence, but the timing is okay because we understand how important it is for ag trade and how important it is for a farmers’ bottom line.”
NCGA lead economist Krista Swanson says while launching widespread tariffs might seem like an effective tool, they can boomerang and cause unintended consequences.